When Should Employment Taxes Be Deposited and Reported?

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Employment Tax Deposits and ReportingAs a business owner, it can be stressful to keep up with employment tax deposits and reporting. Not only do you have to calculate the right withholdings from each employee paycheck, but you also have to make payments and submit reports to match.

Common Tax Deadlines

Here is a quick overview to help you see annual deadlines for some of the main tax payments. Keep in mind that the due dates can change in different circumstances, so the best thing that you can do is stay in touch with an accountant who can help throughout the year.

  • Federal Income Tax Withholding: These deposits need to be made either semiweekly or monthly, depending on the size of the deposits. The frequency of deposits is determined at the beginning of each year based on the reported tax liability for the previous year. Monthly deposits need to be paid by the 15th of every month. Semiweekly deposits fall on either Wednesday or Friday depending on the scheduled payday.
  • Form 941 Reporting: It is important to file Form 941 on a quarterly basis. These due dates are April 30th, July 31st, October 31st, and January 31st. This form includes federal income taxes, Social Security, and Medicare.
  • FICA: Social Security and Medicare taxes should be deposited at the same time as the federal income tax payments. Make sure that you pay both the employee withholding and the employer portions in the same payment.
  • FUTA: This tax is the responsibility of the employer, it is not withheld from employee paychecks. These payments need to be deposited quarterly unless it is less than $500 for the quarter. In this situation, the payment can be rolled to the next quarter.

It is important that you don’t miss these tax deadlines! Missing tax forms or payments can result in penalties and fines. The most effective thing that you can do to avoid these penalties is hire a bookkeeper or accountant to help with your business finances. Let the professional worry about the deadlines so that you can focus on the other responsibilities of running a business.

Do you want to learn more about tax deadlines? Contact R&R Payroll & Bookkeeping Services for information about our services: (951) 296-0412.